Financial Results Presentation for the Nine Months ended 30 Jun - PowerPoint PPT Presentation

Frasers Centrepoint Limited Financial Results Presentation for the Nine Months ended 30 Jun 2017 7 Aug 2017 Northpoint City, Singapore

Important Notice Certain statements in this presentation constitute “forward -looking statements”, including forward-looking financial information. Such forward-looking statements and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Frasers Centrepoint Limited (“FCL”) and its subsidiaries (together with FCL, the “Group”), or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements and financial information. Such forward-looking statements and financial information are based on numerous assumptions regarding FCL’s present and future business strategies and the environment in which FCL will operate in the future. Because these statements and financial information reflect FCL’s current views concerning future events, these statements and financial information necessarily involve risks, uncertainties and assumptions. Actual future performance could differ materially from these forward-looking statements and financial information. FCL expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement or financial information contained in this presentation to reflect any change in FCL’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement or information is based, subject to compliance with all applicable laws and regulations and/or the rules of the Singapore Exchange Securities Trading Limited (the “SGX - ST”) and/or any other regulatory or supervisory body or agency. This presentation includes market and industry data and forecast that have been obtained from internal survey, reports and studies, where appropriate, as well as market research, publicly available information and industry publications. Industry publications, surveys and forecasts generally state that the information they contain has been obtained from sources believed to be reliable, but there can be no assurance as to the accuracy or completeness of such included information. While FCL has taken reasonable steps to ensure that the information is extracted accurately and in its proper context, FCL has not independently verified any of the data from third party sources or ascertained the underlying economic assumptions relied upon therein. 2

Contents  Key Highlights  Operational Update o Singapore o Australia o Hospitality o International Business  Results & Financials  Appendices 3

Key Highlights One Bangkok, Thailand

Key Highlights Achieved Healthy 9M FY17 Results  Revenue increased ~37% y-o-y to approximately S$3,076 m PBIT 1 grew ~44% y-o-y to approximately S$867 m  APBFE 2 increased ~62% y-o-y to approximately S$436 m and AP 3 rose ~17% y-o-y to approximately  S$441 m Continued Execution of Asset Recycling Strategy  Injected seven industrial assets, spread across the Australia eastern seaboard, to Frasers Logistics & Industrial Trust for approximately A$169.3 m 4 Maintained Sound Financial Position  Net debt-to-equity ratio at 70.5% as at 30 June 2017  Pre-sold revenue of S$3.4 b across Singapore, Australia and China  Active capital management with issuance of S$500 m of 4.15% per annum fixed rate notes due 2027 5 1. Profit before interest, fair value change, taxation, and exceptional items 2. Attributable profit before fair value change and exceptional items 3. Attributable profit The amount of A$169.3 million is subject to adjustments arising from the actual gross lettable area (“GLA”) being more or les s than the estimated GLA of the three properties under development 4. (“Development Properties Adjustments”), with the maximum aggregate acquisition amount taking into account the Development Pro perties Adjustments being approximately A$171.5 m 5 5. Consolidated to form a single series with the S$398 million 4.15% fixed rate notes due 2027 issued on 23 February 2017 and the S$52 million 4.15% fixed rate notes due 2027 issued on 6 April 2017

Key Highlights Growing Presence in International Markets  Completed acquisition of ~87% stake in Geneba Properties N.V. on 5 July 2017 o Launched a one-time cash offer for the remaining depository receipts  Entered into a ~20:80 JV with TCC Assets (Thailand) for a proposed mixed-use development project, “One Bangkok”  Acquired ~40.2% stake in TICON Industrial Connection for ~S$543.2 m 1  Increased stake in Golden Land Property Development from ~35.6% to ~39.9% for ~S$25.2 m 2 Wim Bosman Logistic Services B.V., 's-Heerenberg, Netherlands 1. THB 13.28 b (inclusive of transaction costs) equivalent to approximately S$543.2 m, on the basis of the exchange rate of S$1 : THB 24.44 as at 30 Jun 2017 2. THB 615.9 m (inclusive of transaction costs) equivalent to approximately S$25.2 m, on the basis of the exchange rate of S$1 : THB 24.44 as at 30 Jun 2017 6

Operational Update: Singapore Seaside Residences, Singapore

Singapore | Residential  TOP for eCO and RiverTrees Residences obtained in February and May 2017 respectively  Watertown will obtain TOP in 4Q FY17 Sold over 700 1 residential units over three  quarters in FY17 Launched Seaside Residences 2 in April 2017  and sold over 440 units  Unrecognised development revenue of approximately S$0.8 b 3 as at 30 Jun 17 RiverTrees Residences, Singapore  The Waterfront Collection (Waterfront Waves, Waterfront Key, Waterfront Gold and Waterfront Isle) won the World Silver Award of FIABCI World Prix D’Excellence Awards 2017 under the residential (mid-rise) category 1. Including joint venture projects FCL’s effective interest is 40 % 2. Includes FCL’s share of JV projects. With the adoption of FRS 111, about S$0.3b of the unrecognised revenue relating to JV will not be consolidated. Nevertheless, impact 3. on profit before interest & tax is not expected to be significant 8

Singapore | Retail Construction of Northpoint City (South Wing) 1 is scheduled for completion in calendar 4Q 2017   Northpoint City (Retail) is expected to trade with close to 90% occupancy on its soft opening in calendar 4Q 2017  Waterway Point celebrated the first anniversary of its official opening in April 2017. Since trading began in January 2016, the mall has welcomed over 40 million shoppers Average rental reversion for Singapore retail portfolio was approximately 4.7% 2 and average  portfolio occupancy was 90.7% 2 Percentage of leases due for expiry by NLA 3 for the remaining FY17 is 6.0% 2  Northpoint City, Singapore 1. Previously known as Northpoint City (Retail) is now known as Northpoint City (South Wing) 2. As a percentage of net lettable area of all shopping malls in Singapore in which the Group has interest in (including shopping malls held under Frasers Centrepoint Trust) 3. Net lettable area 9

Singapore | Commercial  Construction of Frasers Tower is over 50% completed and on track for completion in 1H 2018  Average rental reversion for the Singapore office and business space portfolio was approximately 1.6% 1 and average portfolio occupancy was 88.1% 1  Percentage of leases due for expiry by NLA 2 for the remaining FY17 is 8.5% 1 Frasers Tower, Singapore 1. As a percentage of net lettable area of all offices and business space in Singapore in which the Group has interest in (including offices and business space in Singapore held under Frasers Commercial Trust) 2. Net lettable area 10

Singapore | REITs  Frasers Centrepoint Trust o 9M FY17 DPU decreased 0.2% y-o-y to 8.93 cents o 9M FY17 NPI decreased 3.5% y-o-y to S$95.0m due mainly to ongoing asset enhancement initiative (“AEI”) works at Northpoint o 9M FY17 average rental reversion of +4.3% o Average portfolio occupancy of 87.1% as at 30 Jun 17 o AEI works at Northpoint progressing on schedule, with expected completion by September 2017 Causeway Point, Singapore  Frasers Commercial Trust o 9M FY17 DPU increased 0.5% to 7.41 cents o Gross revenue and NPI (cash basis) increased 0.9% and 3.9% y-o-y to S$118.2m and S$88.0m, respectively o Average committed occupancy rate of 92.6% as at 30 Jun 17 o 9M FY17 results attributed to better performance by the Australian portfolio as a result of the stronger Australian dollar and one-off payment received in relation to a lease termination in Central Park, offset Alexandra Technopark, Singapore by lower occupancy rates for Alexandra Technopark, China Square Central and Central Park 11